California Attorney General files lawsuit to block Paramount-Skydance acquisition of Warner Bros. Discovery
A coalition of 12 state attorneys general, led by California AG Rob Bonta, has sued to halt the $80 billion merger between Paramount Global and Skydance Media, citing antitrust concerns.
A group of twelve state attorneys general, headed by California Attorney General Rob Bonta and New York Attorney General Letitia James, filed a lawsuit on Tuesday seeking to block the proposed $80 billion merger between Paramount Global and Skydance Media that would acquire Warner Bros. Discovery. The complaint alleges that the transaction could reduce competition in the media and entertainment market.
The Department of Justice had previously approved the deal, stating that it did not raise antitrust issues. The states’ filing argues that the combined entity would control a substantial share of cable networks, studios and streaming assets, potentially limiting consumer choices and enabling higher prices.
Paramount Global and Skydance have not commented publicly on the lawsuit. A spokesperson for Netflix declined to comment when asked for a response.
Legal analysts note that the case could delay the merger’s completion, with a potential preliminary injunction extending the timeline into 2027 and a quarterly penalty of $650 million if the deal is not finalized by September.
The lawsuit adds to ongoing regulatory scrutiny of large media consolidations, reflecting broader concerns about market concentration in the streaming era.